WASHINGTON -- A small bipartisan group of senators unveiled a deficit reduction plan yesterday designed to replace President Clinton's proposed energy tax with deep cuts in entitlement programs, but the proposal was immediately dismissed by Senate Democratic leaders as unpassable.

Treasury Secretary Lloyd Bentsen also promptly denounced the proposal as unworkable and warned that failure by Congress to adopt the President's budget would risk driving up interest rates and sending the economy back into recession.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.